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Walt Disney Co. Drops and Pep Boys Jumps As Stocks Rise

^DJI Chart

Stocks raced into the close to end the session on a high note today. The Dow Jones Industrial Average gained 123 points, or 0.7% -- much of it in the final few minutes of trading. And the S&P 500 tacked on 16 points, or 0.8%:

^DJI data by YCharts

As for individual stocks, Disney fell after managing the best-ever global movie opening with Star Wars: The Force Awakens, and auto service and parts retailer Pep Boys jumped on news of a nearly $1 billion buyout offer.

Disney's stock is forced lower

Disney was the Dow's worst performer today, as investors weighed the entertainment giant's record-smashing Star Wars movie debut against more worries about its relatively weak cable TV business . The Force Awakens solidly beat expectations by collecting $250 million at domestic theaters and $540 million around the world -- making it the biggest film release to date on both counts.

PBY Market Cap Chart

PBY Market Cap data by YCharts

There's no telling whether Bridgestone will counter with a higher proposal of its own, but the company has until Wednesday, Dec, 23, to do so. In any case, shareholders have to be pleased that their company is being so aggressively pursued.

After all, operating results haven't been stellar lately: Comparable-store sales shrank by 2% in the third quarter after barely growing in the second quarter. At today's prices, the stock is valued at about 70 times this year's expected profit. That sounds like a great deal for current investors, even if it isn't sweetened by another round of increased bidding in the days ahead.

The next billion-dollar iSecret

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The article Walt Disney Co. Drops and Pep Boys Jumps As Stocks Rise originally appeared on Fool.com.

Demitrios Kalogeropoulos owns shares of Walt Disney. The Motley Fool owns shares of and recommends Walt Disney. Try any of our Foolish newsletter services free for 30 days . We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy .

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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